Supplement Your Income: 5 Surprising Benefits of Swing Trading Stock

The fast-paced life of a stock trader is tempting. What other job gives you the adrenaline rush without the bodily harm?

If you’re looking to jump into trading, day trading can be tantalizing. But swing trading stock can offer some surprising benefits, especially for that new to the game.

Let’s take a look.

1. Still Thrill, Minimized Risk

Part of the draw of day-trading is the thrill. Pitting your wits against the stocks and hoping you come out on top. It’s fast-paced and exciting.

It also has a lot of potential for loss. On a bad day, day traders can lose thousands. It isn’t secure.

Swing trading, while not without its own risk, mitigates it by giving you a little more time to watch the market. But, because you’re still dealing with short term trades, you get the thrill of high-intensity trading.

Best of both worlds.

2. Part-Time Potential

Day trading is a full-time job. It has to be because otherwise, you miss crucial trades.

Swing trading, on the other hand, doesn’t need to be. It can easily be a part-time job or side hustle to supplement your income.

Because you are watching the market over the course of several days, it’s not too challenging to keep half an eye on the market while you work your day job. You can pull double duty without too much extra effort.

3. Less Investment

Day traders have high competition. They aren’t just competing against other individuals but hedge funds and major financial players. It’s a full-time career.

This means not only a time investment but a monetary one. Like any business owner, day traders sink significant amounts of money into their business. Deluxe technology and high-powered software are needed to make a successful day trader.

A swing trader, on the other hand, doesn’t need to worry about such things. Because it can be a part-time gig, simple software and a regular computer will do just fine.

You’re also free to invest as much time as you want into the business. You call the shots on how much of your time you give to trading.

4. Higher Profits

When you day trade, you’re often doing it by the skin of your teeth. There is always the chance of that big payday. But most of the time, your trading margins are slim.

When you get into swing trading, you have a little more time to wait out stock and pick the precise right time to make a trade. This leads to higher profits and fewer stop losses.

5. Lower Stress

Swing trading helps you cut out a lot of that stress. After all, for most swing traders, trading is a part-time gig, not the bulk of their income. That cushion can help keep the crippling stress at bay.